Westfield

Westfield Corporation was an Australian commercial real-estate company focused on the ownership, development, design, construction, leasing, management and marketing of large shopping centres. It was created in 2014 when the former Westfield Group was divided into two separately structured businesses. The Australian and New Zealand assets were placed into Scentre Group, while the United States and United Kingdom assets were transferred to Westfield Corporation. The separation was intended to give the businesses more focused investment profiles and operating strategies: Scentre concentrated on Westfield-branded centres in Australia and New Zealand, while Westfield Corporation operated the international portfolio. The Westfield name originated with the opening of Westfield Place in Blacktown, in western Sydney, in July 1959. The original centre was opened by John Saunders and Frank Lowy, and the name combined a reference to western Sydney with the notion of a field formerly used as subdivided farmland. The original Westfield business was floated on the Australian Stock Exchange in 1960 and expanded from New South Wales into Victoria and Queensland during the 1960s. It subsequently developed into one of the most prominent Australian shopping-centre groups. The company’s international growth was particularly significant in the United States. Westfield entered the American market in 1977 through the acquisition of Trumbull Shopping Park in Connecticut. Further acquisitions and developments followed in California, Michigan, Connecticut, New Jersey and New York. In 1994, Westfield participated with General Growth and Whitehall Real Estate in the purchase of 19 shopping centres for approximately US$1 billion. By 2005, the broader Westfield business owned centres in 15 US states. In the United Kingdom, Westfield established a major presence through large urban and regional shopping destinations, including Westfield London and Westfield Stratford City, while its broader European portfolio extended across several continental European markets. Westfield also expanded into New Zealand during the 1990s, primarily by acquiring existing centres associated with Fletcher Property and progressively applying the Westfield identity. Westfield Albany, opened in 2007, was among the group’s notable new developments in that market. However, the New Zealand and Australian operations were ultimately assigned to Scentre Group rather than Westfield Corporation in the 2014 restructuring. Westfield Corporation operated as more than a property owner. Its activities covered development, architectural and design work, construction, investment and asset management, property management, retail leasing and centre marketing. The portfolio included interests in approximately 40 shopping centres in the United States and Europe, with around 7,500 retail outlets and assets under management exceeding $28.5 billion, according to descriptions of the company during its independent period. It also operated Westfield Labs, a technology and design initiative based at Westfield San Francisco Centre that explored digital retail, customer experience and technology-led innovation. The corporation’s independent existence ended after Unibail-Rodamco agreed to acquire it. Westfield’s board recommended the transaction in December 2017, and the takeover was completed in June 2018. Westfield Labs was excluded from the transaction. Following completion, the acquiring parent was renamed Unibail-Rodamco-Westfield, and the Westfield brand continued as a shopping-centre identity within that group rather than as a separate listed corporation.

The Westfield story began in western Sydney, where John Saunders and Frank Lowy opened Westfield Place in Blacktown in July 1959. The name referred both to the company’s western-Sydney setting and to the former farmland on which the centre was developed. The business was floated on the Australian Stock Exchange in 1960 and initially expanded through New South Wales, building five additional centres before entering Victoria and Queensland in 1966 and 1967. International expansion became a defining feature of the wider Westfield Group. The business entered the United States in 1977 by acquiring Trumbull Shopping Park in Connecticut. It added centres in California, Michigan and Connecticut in 1980, followed by properties in California, New Jersey and Long Island, New York, in 1986. In 1994, Westfield joined General Growth and Whitehall Real Estate in acquiring 19 centres for approximately US$1 billion. The American portfolio continued to grow, reaching centres in 15 states by 2005. Westfield also built a significant New Zealand presence during the 1990s. It acquired a number of existing Fletcher-associated shopping centres and gradually converted them to the Westfield identity. Westfield Albany, opened in 2007, represented a notable ground-up development in the country. In the United Kingdom, the group pursued major metropolitan and regional developments, while its later international portfolio included interests in France, Spain, Germany, Poland, Sweden, the Netherlands and Italy. The corporate structure changed substantially in 2010, when the Westfield Group placed half of its Australian and New Zealand assets into Westfield Retail Trust, an entity traded on the Australian Securities Exchange under the symbol WRT. That arrangement was followed by a broader 2014 separation. Australian and New Zealand assets were transferred to Scentre Group, while the international assets in the United States and United Kingdom became Westfield Corporation. The resulting corporation concentrated on international shopping-centre ownership, development and operations. During its independent period, Westfield Corporation’s capabilities extended across the full property lifecycle. It developed and constructed centres, designed retail environments, managed investment assets and funds, leased space to retailers, operated properties and marketed destinations to consumers. Its portfolio was described as containing interests in about 40 shopping centres across the United States and Europe, with approximately 7,500 stores and assets under management of more than $28.5 billion. Westfield Labs, located at Westfield San Francisco Centre, served as a technology and design arm focused on digital retail and customer experience. The company accepted a takeover proposal from Unibail-Rodamco in December 2017. Completion occurred in June 2018, and the acquiring group adopted the name Unibail-Rodamco-Westfield. Westfield Labs was excluded from the acquisition. As a result, Westfield Corporation ceased to operate as a separate listed company, although the Westfield name continued as a major brand for shopping centres within the enlarged Unibail-Rodamco-Westfield group.

1. 2018Acquisition completed

   Unibail-Rodamco completes the takeover and changes its parent-company name to Unibail-Rodamco-Westfield.

   Source
2. 2017Takeover recommendation

   The Westfield board recommends Unibail-Rodamco’s offer for the corporation.

   Source
3. 2014Westfield Corporation is established

   The international assets of the former Westfield Group are separated into Westfield Corporation, while Australian and New Zealand assets form Scentre Group.

   Source
4. 2010Australian and New Zealand assets are partly placed in Westfield Retail Trust

   Half of the group’s Australian and New Zealand assets are placed into a separately traded retail-property trust.

   Source
5. 2007Westfield Albany opens

   Westfield opens a new shopping centre in Albany, New Zealand.

   Source
6. 1994Joint acquisition of 19 US centres

   Westfield collaborates with General Growth and Whitehall Real Estate on a large US shopping-centre acquisition.

   Source
7. 1977Entry into the United States

   Westfield enters the US market through the purchase of Trumbull Shopping Park in Connecticut.

   Source
8. 1960Westfield is listed in Australia

   The original Westfield business is floated on the Australian Stock Exchange.

   Source
9. 1959Westfield Place opens in Blacktown

   John Saunders and Frank Lowy open the first Westfield development in western Sydney.

   Source

Premium, experience-oriented shopping-centre ownership and operation, combining retail property investment with large-scale development, leasing, management, marketing and digital innovation.

• Westfield shopping centresCommercial real estate1959

  Large retail destinations combining shops, dining, entertainment and related services. Westfield’s role could include development, ownership, investment, leasing, property management, marketing and ongoing redevelopment. The centres were positioned as destination-based environments rather than simple collections of retail units.

• Westfield LabsRetail technology and design

  A technology and design arm based at Westfield San Francisco Centre. It explored digital retail, customer-experience improvements and technology applications for shopping-centre environments. Westfield Labs was excluded from the Unibail-Rodamco acquisition of Westfield Corporation.

• 2017Recommend Unibail-Rodamco takeoverM&A

  Unibail-Rodamco proposed acquiring Westfield Corporation to combine two major international shopping-centre businesses.

  What changed. Westfield’s board recommended the takeover, reported at approximately US$24.8 billion.

  Aftermath. The transaction closed in June 2018. Westfield Labs was excluded, and the parent company was renamed Unibail-Rodamco-Westfield.

  Reported takeover value. Approximately US$24.8 billion (December 2017 announcement)

  Source
• 2014Separate international and Australasian property portfoliosStrategy

  The former Westfield Group sought a more focused structure for its international and Australasian operations.

  What changed. United States and United Kingdom assets were placed into Westfield Corporation, while Australian and New Zealand assets were transferred to Scentre Group.

  Aftermath. Westfield Corporation became the separately listed vehicle for the international portfolio, while Scentre became the principal Westfield-branded operator in Australia and New Zealand.

  Source

• 2018Westfield takeover is completed and parent is renamed Unibail-Rodamco-Westfield

  The acquisition of Westfield Corporation was completed in June, ending its existence as an independent listed company. Westfield Labs was excluded from the transaction.

  M&ALeadership change
  Source
• 2017Unibail-Rodamco agrees to acquire Westfield Corporation

  Westfield’s board recommended a takeover by French property company Unibail-Rodamco in a transaction reported at approximately US$24.8 billion.

  M&A
  Source
• 2014Westfield Corporation is created through the separation of the Westfield Group

  The former Westfield Group was divided so that Australian and New Zealand assets formed Scentre Group, while the United States and United Kingdom assets formed Westfield Corporation.

  Other
  Source
• 2006Westfield announces sale of eight US shopping centres

  The broader Westfield Group announced the sale of eight US centres considered outside its strategic focus to Centro Properties Group.

  M&A
  Source

1. Westfield Corporation